USD/CHF Price Analysis: Finds some support near 0.9700 mark, 200-hour SMA
|- USD/CHF stalled the overnight rejection slide from 200-day SMA.
- The set-up warrants some caution before placing directional bets.
The USD/CHF pair managed to find some support near the 0.9700 round-figure mark and has now recovered a major part of its intraday downfall. The mentioned level coincides with 200-hour SMA and should now act as a key pivotal point for short-term traders.
USD/CHF 1-hourly chart
Meanwhile, technical indicators on 4-hourly/daily charts maintained their bullish bias and have been recovering from the negative territory. The set-up seems tilted in favour of bullish traders and supports prospects for some appreciating move.
Some follow-through buying above the 0.9735 region (daily tops) will add credence to the constructive outlook. However, the formation of a bearish multi-tops near the very important 200-day SMA warrants some caution before placing aggressive bullish bets.
Daily chart
A convincing break through the 0.9700 handle will add credence to the bearish formation and prompt some technical selling. The pair might then accelerate the fall and test an intermediate support near the 0.9665-60 region.
The downward trajectory could further get extended towards challenging the lower end of over one-month-old trading range, around the 0.9600 mark. Failure to defend the mentioned support might be seen as a fresh trigger for bearish traders.
Technical levels to watch
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